By Matthew C. Keegan
January 23, 2006
The minivan wars are heating up even as Ford exits the market and as GM
considers doing the same. Hyundai is throwing the gauntlet down, hoping that you
will pick it up and buy the Entourage, the newest minivan in a crowded segment.
It was only a matter of time
before they entered the minivan fray and after several false starts the on
again and off again Hyundai minivan appears to be on once again. Hyundai is
targeting a market it has long sidestepped and it appears that a long
wheelbase version of the Kia Sedona will soon be sold in the US as a Hyundai
Entourage. The minivan wars are heating up again even as one competitor
exits the market and another also gives serious consideration to abandoning
the minivan segment. Is there an Entourage in your future? Read on for all
the details and then decide. Read about
the big pick up truck being considered by Hyundai for the US market
here.
Two decades ago, Hyundai entered the North American market with its $3600
Excel Pony. This cheaply priced, cheaply built model set the tone for the
new importer and it wasn’t a good one at that. Low quality went arm and arm
with the low price, but consumers still bought Hyundais anyway as a new
Excel compared favorably with prices for late model used cars of that era.
Many owners shrugged off the cheap plastics and quality problems, citing
that the Pony gave them something they never had before: a brand new car.
Eventually, Hyundai expanded its line up and improved its quality levels. An
industry best warranty plan was crafted and put in place which helped to
underscore that Hyundai was serious about building quality vehicles and
would stand behind their many products. Mysteriously, a minivan was not part
of the line up even as its Kia subsidiary successfully introduced the Sedona
and as demand for minivans remained strong.
Rumors of a Hyundai minivan have been circulating for several years. Even
previous company press releases hinted at the possibility, but no official
announcement had been forthcoming. Finally, late in 2005, Hyundai signaled
that they would go ahead and produce a minivan based on the stretched
wheelbase version of the Kia Sedona. No short wheelbase van is planned, so
the Entourage will clearly target a slightly higher and more lucrative end
of the minivan market.
With a 3.8L V6 engine, power sliding doors, ABS, traction control, six
airbags, and triple zone air conditioning, the Entourage will be equipped to
compete directly against four popular models: the Dodge Caravan, Chrysler
Town & Country, Honda Odyssey, and the Toyota Sienna. Based on the Sedona,
Hyundai does have its work cut out for itself as the Sedona has been below
average in quality and reliability.
To Hyundai’s advantage will be its competitive pricing and with Ford out of
the market and General Motors considering doing the same, Hyundai’s focus
will be set squarely on competing against the two Chrysler products as well
as the pricey Honda and Sienna models. While Chrysler is currently the sales
leader in this segment, a smartly optioned Entourage will probably grab
sales from fully equipped versions of each model. This will not happen if
quality levels do not improve.
Knowing the competitiveness of this Korean automaker, you can expect that
the Entourage will present a strong battle once quality issues have been
overcome. Should that happen, you can expect that the Hyundai Entourage and
Kia Sedona will grab more sales and become a force to be reckoned with. The
consumer may be the biggest winner as prices are likely to hold or even come
down in the face of strong competition.
Author Information:
Copyright 2006 – Matt Keegan is a freelance writer covering important automotive topics and products including timing chain, timing chain replacement and Cloyes timing chain parts.